The concept of cryptocurrencies has been held in the highest regard for quite some time. But it is important to say that it wasn’t like that always. We can see that there was a lot of skepticism in the first couple of years. If we were completely honest, we would say that the concept was been looked down upon for the majority of its existence.
However, it managed to establish itself as a major factor in the world of finances. As you may know, Bitcoin was introduced back in 2009, and it was the first crypto to see the light of the day. Its release was followed by some other ones who didn’t prove themselves significant enough. Over the years, only a handful of them has proved themselves worthy to be a big player on the market.
One of them is, without a doubt, Ethereum. Today, this is the second most valuable one, after BTC. Not only that, according to some experts, we can see that it has a massive potential to become even more valuable in the future. Another significant reason is it is being used by a plethora of online casinos. If you would like to learn more about its potential, you should click here.
Now, we would like to talk about its potential in high detail and provide you with some other interesting information.
Why is it Significant?
We can all agree that Ethereum is quite an attractive and popular option. However, there is no frenzy around it that follows other digital currencies like Bitcoin or Dogecoin. Its network has one great feature to offer. It supports further development and creation of new apps, based on its infrastructure. As you can see, it can offer a lot of resources in the long term.
That’s why so many people think it has a great potential to become even more significant in the future. Because of all these traits, it has a higher utilization rate than some other ones. Between August 2020 and August 2021, it has more transactions than BTC, which was a surprise for a lot of traders who follow all the trends of the market.
As was the case with BTC, ETH has suffered a massive blow during 2020. It lost more than 50% of its value in just two weeks. Still, it managed to recuperate from this blow until the end of the year. It needs to be said that there is one big difference between these two cryptos. BTC’s value is supported by the perceived value of people who own it. On the other hand, ETH’s value comes as a result of the relationship between the currency and the ETH blockchain.
When it comes to overseeing the apps that derive from ETH, many people don’t know that there is no higher authority that oversees them. That’s why the number of apps that are directly based on it has skyrocketed in the last couple of years. Only in 2020, the growth of these apps was 2,000%, which is an exceptional rate. When all of these are combined, they are worth roughly $16 billion.
Also, there are a lot of gambling sites that have decided to focus on ETH for some reason. When you combine all of these factors, you will see that they represent a drive-force that fueled its value and why it is at the level it is today. Plus, the resources it can provide us in the future will be the generation of its future value. That’s why so many experts are certain something like this will happen in the future.
Ethereum and Elon Musk
Many people didn’t notice that Elon Musk’s tweets affected the price of ETH in almost the same capacity as they did Bitcoin. For those who don’t remember it, Mr. Musk said that system of these two is not as efficient and eco-friendly as they need to be for him to support them. Sure, these tweets have caused both of their prices to drop. At the same time, Elon Musk spoke highly of Dogecoin.
Vitaly Buterin, one of Ethereum’s developers, has stated that this would be the last time that these factors will have a say in its crypto’s worth. He said that it will be prevented by creating crypto’s immune system against them. While it is not certain what this will be, we can see that this massive change didn’t happen again in the case of ETH. At the same time, we can see that Mr. Buterin became a millionaire after selling almost all of his Dogecoin. He thanked Elon Musk for his popularization of crypto.
How High Can It Go?
When talking about the potential of Ethereum, we would say that it is massive. There is a plethora of reasons for this claim. But when we take a look at some predictions, we can see that they are pretty confusing, even though they agree that the price will get higher in the future.
For instance, there is one credible source that says that Ethereum can even challenge BTC’s prime spot in the world of cryptos. However, we are sure this will happen in the future. In any case, we can see many other predictions say that the price of this digital currency could be at $5,000 by the end of 2024. Some even say that it can go above $10,000 during the same period.
However, the most realistic expectations say that we can see its value reaching $4,000 by the end of the year. With the introduction of Ethereum 2.0 in the future, the price can go even more up in the future. In any case, we can all agree that this is probably the best option for investment in the whole market.
The Bottom Line
When you consider all the factors, you will see that it is possible to expect a surge in ETH’s price in the future. In this article of ours, you can take a look at some of the crucial ones. What its final worth remains to be seen in the years to come.
